eBook Problem Walk-Through

Weston Corporation just paid a dividend of $1 a share (i.e., D₀ = $1). The dividend is expected to grow 12% a year for the next 3 years and then at 3% a year thereafter. What is the expected dividend per share for each of the next 5 years? Do not round intermediate calculations. Round your answers to the nearest cent.

D₁ = $ D₂ = $ D₃ = $ D₄ = $ D₅ = $